Crypto funds are increasingly investing in traditional assets: is the market transformation coming?

Some large cryptocurrency funds have noticeably "diluted" their portfolios with traditional assets.For example, in the second half of April, it became known that their value in the Ethereum Foundation reached $302 million.Is it a way for organizations to survive upheaval or does it markAaron Chomsky, Head of the Investment Department at ICB Fund, told BitCryptoNews about this:

I don't think it's worth drawing any far-reaching conclusions based on the reports of just a few companies.Moreover, in the same Ethereum Foundation,non-cryptocurrency assets account for only 18.8% of the organization's total portfolio.Also take into account the fact that these may simply be Fiat reserves, which are needed both to ensure the life of offices and to take part in rounds of investment in promising projects.In the second case, these investments are quite capable of transforming into "cryptocurrency" in the future.

In fact, there are examples of investments in projects that are not presentIn particular, the other day $505 million, including fromrepresentatives of the crypto industry were attracted to Crusoe Energy Systems, a mining company where they want toto expand the facilities operating on associated gas, and thereby reduce the environmental burden.

It is also common to find a situation wherethere is funding for venture capital funds, which will then use the capital to invest in Web3 projects. Here, the organization itself chooses the option of formalizing such actions: as a crypto or fiat investment. In other words, since we don’t get any specifics, we can’t speak with particular confidence about any trends.

It is also worth considering the fact that ventures continue toto finance blockchain projects even now, when the market has been in a state of correction for many months .Major deals in the past week alone include $400 million for Framework Ventures, $120 million for Rario, $30 million for Scroll, $12.5 million for Mintbase, $10 million for LimeWire, and $10 million for Decent DAO.

Thus, even if we assume thatcrypto-investors want to diversify their portfolios and place part of the money outside the overly risky industry, then this is obviously happening without much negative effect on promising decentralized projects. And in general, there is nothing wrong with the fact that there is a desire to protect against the risk of allocating significant capital in one area.